Cardano’s native cryptocurrency ADA is witnessing significant accumulation from large-scale holders while Ethereum investors reduce their positions, signaling strong confidence in Cardano’s market potential. On-chain data reveals addresses holding over 100,000 ADA have increased their collective stash by nearly 30% year-to-date, reversing previous sell-off trends.
This accumulation surge contrasts sharply with Ethereum’s landscape, where whale accounts have actively downsized ETH holdings. Analysts interpret the divergence as capital rotation from Ethereum to Cardano. Technical indicators reinforce ADA’s bullish momentum, with the Accumulation/Distribution line showing robust inflow patterns following trades exceeding 52 billion ADA within 24 hours.
Supporting the optimistic outlook, Cardano’s DeFi ecosystem continues expanding with total value locked surpassing $352 million. Notably, approximately $66 million worth of ADA recently migrated from exchange reserves to private wallets – historically a precursor to reduced selling pressure. Market watchers now monitor key resistance levels at $0.8365 and $0.9373, viewing a decisive breakout as potential fuel for a rally toward the psychologically significant $1 threshold.